San Diego’s home price gains continue to lag nation

San Diego home price gains continued to slow in April and came close to negative territory.

The San Diego metropolitan area’s home price increased 1% annually, said the S&P Case-Shiller Indices report for April released Tuesday. It was part of a nationwide slowdown that has seen prices drop in some cities.

San Diego metro, which includes all of San Diego County, ranked 15th in the 20-city index for the second month in a row. San Diego had the fastest-rising home prices in the U.S. last April, rising 10.3% in a year.

The fastest-rising markets in April were New York, up 8%; Chicago, up 6%; and Detroit, up 5.5%.

“Markets that were pandemic darlings are now lagging,” said Nicholas Godec, a senior director at S&P Dow Jones Indices, “while historically steady performers in the Midwest and Northeast are setting the pace.”

Economists tend to track the Case-Shiller Indices more closely than the median home price or studies on home values. The index tracks repeat sales of identical single-family houses — and are seasonally adjusted — as they turn over through the years. It is often seen as a bellwether of the economy as a whole.

San Diego County’s median home price for single-family homes in April was $990,625, said Attom Data Solutions. The median is the point at which half the homes sold for more and half for less.

While the number of homes on the market have increased, sales are still sluggish. Experts have pointed to affordability concerns as a stumbling block for many buyers. The average interest rate for a 30-year, fixed rate loan was 6.81% in the last week of April, said Freddie Mac. Assuming 20% down, that would make for a monthly payment of roughly $5,500 for a San Diego County single-family home.

Anthony Smith, senior economist at Realtor.com, says that high borrowing costs, and affordability barriers, would temper buyer enthusiasm into the typically busy spring buying season.

“Economic uncertainty and elevated rates are likely to keep housing activity slower than usual this spring,” he said in a statement.

Even with slowed home price growth, San Diego is still more expensive than the fastest rising markets. The median single-family home price in the the New York metro area was $849,000, said Redfin. The New York metro area is the biggest in the nation and includes New York City, parts of New York state, much of New Jersey and Connecticut, and Long Island.

Other rising markets are still a bargain compared to San Diego County. The median single-family home price was $401,000 in the Chicago metro area in April, and $190,000 in Detroit.

On a national level, single-family home prices were up 2.7% in April, the slowest rise in nearly two years. Two markets were negative: Tampa, down 2.2%, and Dallas, down 0.2%. San Francisco was close to turning negative, up 0.2% annually.

While Case Shiller reports on single-family homes as they are resold, there is also some concern from homebuilders about new home sales, too. Lennar, the largest homebuilder in San Diego County, said in an earnings call last week that its profit fell to $477 million in the second quarter, from $954.3 the same time last year.

“While we continue to see softness in the housing market due to affordability challenges and a decline in consumer confidence,” said Stuart Miller, Lennar executive chairman, “we adhered to our strategy of driving starts, sales, and closings in order to build long-term efficiencies in our business.”

Annual price growth by metropolitan area

S&P/Case-Shiller Home Price Index, April 2025

New York: 8%Chicago: 6%Detroit: 5.5%Cleveland: 5.2%Washington, D.C.: 4.3%Las Vegas: 4.1%Boston: 3.9%Seattle: 3.1%Los Angeles-Anaheim: 2.5%Charlotte: 2.4%Minneapolis: 2.4%Atlanta: 2.1%Miami: 1.4%Phoenix: 1.3%San Diego: 1%Portland: 0.8%Denver: 0.7%San Francisco: 0.2%Dallas: -0.2%Tampa: -2.2%

National: 2.7%